Table of Contents
Overview
-
- What you need to know
- Products covered in this Report
Executive Summary
-
- The market
- Specialists sales fall 1.9%
-
- Figure 1: Total DIY/hardware specialist sector size (including VAT), 2012-22
- Declining sales through the big-box retailers accelerates
- Consumer spending on DIY categories increases
-
- Figure 2: Consumer spending on DIY products, annual percentage change, 2012-17
- Fewer people are moving
-
- Figure 3: Housing transactions completed in the UK valued at £40,000 or above, percentage change over 12 months, 2009-17
- DIY specialists account for two thirds of spending
-
- Figure 4: DIY products*, estimated channels of distribution, 2017
- Online sales hit £1.6 billion in 2017
-
- Figure 5: Online market for DIY products, 2013-17
- Companies and brands
- Travis Perkins overtakes Bunnings/Homebase
- Non-specialists continue to make up ground
- Kingfisher accounts for just under a quarter of all spending on DIY
-
- Figure 6: Leading retailers, estimated share of all DIY spending, 2017
- Kingfisher brands stand out from the rest
-
- Figure 7: Key metrics for selected retailers, April 2018
- Advertising spend falls 4.3% in 2017
-
- Figure 8: Recorded above-the-line, online display and direct mail total advertising expenditure by UK DIY retailers, 2014-17
- B&Q targets digital engagement
- The consumer
- 74% undertook a home improvement project in the past year
-
- Figure 9: Project undertaken in the last 12 months, March 2018
- Women improve while men maintain
-
- Figure 10: Reasons for undertaking DIY/home improvement projects in the past year, March 2018
- A quarter are already planning their next DIY project
-
- Figure 11: DIY/home improvement plans for the next 12 months, March 2018
- Half have shopped at B&Q in the past year
-
- Figure 12: Where they shopped for DIY products in the past year, March 2018
- Satisfied with range, but less so with service
-
- Figure 13: Key drivers of overall satisfaction with DIY retailers, March 2018
- 43% of shoppers visited a store to view/try products
-
- Figure 14: How they shopped for DIY/home improvement products in the last 12 months, March 2018
- What we think
Issues and Insights
-
- Where next for Bunnings and Homebase?
- The facts
- The implications
- Specialists battling an increasingly fragmented market
- The facts
- The implications
- Is there a future for the big-box store?
- The facts
- The implications
The Market – What You Need to Know
-
- Housing transactions fell in 2017
- Specialists’ sales fall 1.9%
- Declining sales through the big-box retailers accelerates
- Consumer spending on DIY categories increases
- DIY specialists account for two thirds of spending
- Online sales hit £1.6 billion in 2017
Market Drivers
-
- Housing market slows in 2017…
-
- Figure 15: Number of residential housing transactions completed in the UK valued at £40,000 or above, 2006-17
- …and the slowdown continues into 2018
-
- Figure 16: Residential housing transactions completed in the UK valued at £40,000 or above, annual percentage change in seasonally adjusted figures, April 2017-March 2018
- Consumers feel the squeeze during 2017
-
- Figure 17: Consumer confidence tracker, January 2015-February 2018
- Earnings growth exceeds inflation once again
-
- Figure 18: Average weekly earnings versus inflation, March 2014-March 2018
- Steady rise in private rented households
-
- Figure 19: Housing tenure, 2008/09-2016/17
- Plans to spend on the home increase, but activity remains the same
-
- Figure 20: Consumers that have spent money on their home (eg decorating) in the last three months, and/or plan to do so in the next three months, January 2016-February 2018
Specialists’ Sector Size and Forecast
-
- Specialists’ sales fall 1.9%
- Repositioning of Homebase shifts sales to non-specialists
-
- Figure 21: Total DIY/hardware specialist sector size (including VAT), 2012-22
- Figure 22: Total DIY/hardware specialist sector size (including VAT), at current and constant prices, 2012-22
- Forecast methodology
Market Segmentation
-
- Sheds/big box decline accelerates
- Temporary recovery forecast for 2019
-
- Figure 23: Shed/big-box specialists’ sector size (including VAT), 2012-22
- Figure 24: Shed/big-box specialists’ sector size (including VAT), at current and constant prices, 2012-22
- Other DIY/hardware specialists continue to outperform the sheds
-
- Figure 25: Other DIY/hardware stores segment (including VAT), 2012-22
- Figure 26: Other DIY/hardware stores segment (including VAT), 2012-22
Consumer Spending on DIY Products
-
- Consumer spending jumps 12% in 2017
-
- Figure 27: Consumer spending on DIY products, 2012-17
- Consumer spending by product category
-
- Figure 28: Consumer spending on DIY products, category breakdown, 2015-17
- Mintel’s consumer spending market size
Channels of Distribution
-
-
- Figure 29: DIY products*, estimated channels of distribution, 2017
-
Online
-
-
- Figure 30: Estimated online DIY market size (ex-VAT), 2013-17
-
- Figure 31: Estimated online DIY market size (ex-VAT), 2013-17
- Non-specialists dominate the online sector
-
- Figure 32: Estimated share of DIY sales, by specialists and non-specialist DIY retailers, 2015-17
-
- Figure 33: Estimated share of DIY sales online, by operation 2017
- Figure 34: Estimated share of DIY sales online, by operation, 2015-17
- B&Q’s online sales are growing quickly
-
- Figure 35: Estimated online sales by leading retailers, 2015-17
-
Key Players – What You Need to Know
-
- Travis Perkins overtakes Bunnings/Homebase
- Non-specialists continue to make up ground
- Kingfisher accounts for just under a quarter of all spending on DIY
- Kingfisher brands stand out from the rest
- Advertising spend falls 4.3% in 2017
- B&Q targets digital engagement
- Bunnings conversion sees a move to the heavy end
- Almost half of Wickes’ sales come from heavy-end or DIY categories
Leading Specialist Retailers
-
- Superstore sheds remain dominant despite challenges
- Specialist sales dip as further consolidation bites
-
- Figure 36: Leading DIY specialists, sales, 2014/15-2017/18
-
- Figure 37: Leading DIY specialists, outlets, 2014/15-2017/18
- Figure 38: Leading DIY specialists, sales per outlet, 2014/15-2017/18
Leading Non-specialist Retailers
-
- Argos and Sainsbury’s: the dominant DIY non-specialist
- Amazon the fastest growing non-specialist
- Discounters continue to grow their influence on the sector
-
- Figure 39: Leading non-specialists, estimated DIY sales (excluding VAT), 2014-17
Market Shares
-
-
- Figure 40: Leading retailers’ estimated trade share of sales, 2015-17
- Kingfisher takes the lion’s share of specialist sales
-
- Figure 41: Leading DIY retailers, estimated share of all specialists’ sales, 2017
- Figure 42: Leading DIY retailers, share of all specialists’ sales, 2015-17
- Amazon and the discounters make gains
-
- Figure 43: Leading retailers, estimated share of all DIY spending, 2017
-
- Figure 44: Leading retailers, share of all DIY spending, 2015-17
-
Brand Research
-
- Retailer map
-
- Figure 45: Attitudes towards and usage of selected retailers, April 2018
- Key retailer metrics
-
- Figure 46: Key metrics for selected retailers, April 2018
- Retailer attitudes: B&Q leads on trust and value for money
-
- Figure 47: Attitudes, by retailer, April 2018
- Retailer personality: Wickes risks being perceived as boring
-
- Figure 48: Retailer personality – Macro image, April 2018
- Screwfix is responsive and reliable
-
- Figure 49: Retailer personality – Micro image, April 2018
- Retailer analysis
- Screwfix comes highly recommended
-
- Figure 50: User profile of Screwfix, April 2018
- B&Q still the most used and most trusted brand
-
- Figure 51: User profile of B&Q, April 2018
- Bunnings Warehouse: making an impression
-
- Figure 52: User profile of Bunnings Warehouse, April 2018
- Homebase loses female shoppers
-
- Figure 53: User profile of Homebase, April 2018
- Wickes offers simple good value
-
- Figure 54: User profile of Wickes, April 2018
Advertising and Marketing Activity
-
- Total DIY retail advertising spend down 4.3% year-on-year in 2017
-
- Figure 55: Recorded above-the-line, online display and direct mail total advertising expenditure by UK DIY retailers, 2014-17
- B&Q is the biggest DIY retail advertising spender
-
- Figure 56: Leading UK DIY retailers: recorded above-the-line, online display and direct mail total advertising expenditure, 2014-17
- B&Q and Homebase increase their share of total sector spend in 2016
-
- Figure 57: Big three DIY retailers’ share of recorded above-the-line, online display and direct mail total advertising expenditure, 2016 and 2017
- TV attracts the lion’s share of advertising spend
-
- Figure 58: Recorded above-the-line, online display and direct mail total advertising expenditure by UK DIY retailers, by media type, 2014-17
- What we’ve seen in 2018
- B&Q spring ‘price drop’ campaign
- Homebase half-term refresh ideas and kitchens campaign
- Wickes reintroduces its ‘Buy now, do it later’ campaign
Innovation and Launch Activity
-
- B&Q beefing up digital engagement
- Houzz launches home products marketplace in the UK
- Screwfix Instagram Shopping service
- Non-specialist positioning itself as a one-stop shop for home improvement projects
- Bunnings’ new, smaller format store
-
- Figure 59: Bunnings, Bicester, December 2017
- A new, quick and convenient way to sell DIY tools
- Wickes opens smallest store to date
Space Allocation Summary
-
- Space allocation overview
-
- Figure 60: DIY retailers: in-store/outdoor space allocation estimates, April 2018
- Detailed space allocation estimates
-
- Figure 61: DIY retailers: detailed in-store/outdoor space allocation estimates, April 2018
Retail Product Mix
-
-
- Figure 62: Leading DIY retailers’ estimated sales as a percentage, by product, 2017
- Figure 63: Leading DIY retailers’ estimated sales as a percentage, by product, 2017
-
- Figure 64: Leading DIY retailers’ estimated sales, by product, 2017
-
Kingfisher Group
-
- What we think
- Still early days
- ONE Kingfisher driven by unifying product ranges
- Digital overhaul helps boost e-commerce
- Operational efficiencies have their part to play too
- Increased urbanisation presents challenges
- A new format?
- What next?
- Company background
- Company performance
-
- Figure 65: Kingfisher Group: group financial performance, 2013/14-2017/18
-
- Figure 66: Kingfisher Group: outlet data, 2013/14-2017/18
- Retail offering
Bunnings (Homebase)
-
- What we think
- Abandoning the soft end of the DIY market
- Are there any signs of improvement?
- Stick or twist, what next?
- Company background
- Company performance
-
- Figure 67: Bunnings UK & Ireland: group financial performance, 2012/13-2016/17
-
- Figure 68: Bunnings UK & Ireland: outlet data, 2012/13-2016/17
- Retail offering
Travis Perkins Retail
-
- What we think
- Wickes bolstering price competitiveness credentials with new loyalty scheme
- Kick-starting kitchen and bathroom sales following slump in second half of 2017
- Extended fulfilment options helping drive Toolstation sales growth
- Enhanced digital customer experience
- Toolstation to double number of branches in the Netherlands in 2018
- Company background
- Company performance
-
- Figure 69: Travis Perkins Retail: group financial performance, 2013-17
-
- Figure 70: Travis Perkins Retail: outlet data, 2013-17
- Retail offering
The Consumer – What You Need to Know
-
- 74% undertook a home improvement project in the past year
- Women improve while men maintain
- A quarter are already planning their next DIY project
- Half have shopped at B&Q in the past year
- Satisfied with range, but less so with service
- 43% of shoppers visited a store to view/try products
Home Improvement Projects Undertaken
-
- 74% of households have done home improvement in the past year
-
- Figure 71: Project undertaken in the last 12 months, March 2018
- Scots are most likely to undertake a project
-
- Figure 72: Any DIY/home improvement project undertaken in the past 12 months, by region, March 2018
- Who did the work?
- 54% of women undertook work themselves
-
- Figure 73: Who carried out home improvement projects undertaken in the last 12 months, March 2018
- Those living in Yorkshire and Humberside are most likely to do DIY
-
- Figure 74: Home improvement projects carried out by someone in the household or a friend, March 2018
Reasons for Undertaking Projects
-
- Improve the look or general maintenance
-
- Figure 75: Reasons for undertaking DIY/home improvement projects in the past year, March 2018
- Women are more proactive when it comes to DIY projects
-
- Figure 76: Reasons for carrying out home improvement projects, by gender, March 2018
- Londoners are more reactive when it comes to home improvement
-
- Figure 77: Reasons for carrying out a home improvement project, those living in London compared to the average, March 2018
Plans for Next Year
-
- 60% expect to do DIY/home improvement
-
- Figure 78: DIY/home improvement plans for the next 12 months, March 2018
- Women are more likely to be planning DIY projects
-
- Figure 79: DIY/home improvement plans for the next 12 months, by age and gender, March 2018
- Scots are most likely to have DIY plans
-
- Figure 80: DIY/home improvement plans for the next 12 months, by region, March 2018
Where They Shopped
-
- Half have shopped from B&Q in the past year
- Homebase still second in terms of popularity
- Amazon the second-most popular online
- Bunnings edges into the rankings
-
- Figure 81: Where they shopped for DIY products in the past year, in-store or online, March 2018
- Online shoppers are younger and wealthier than in-store shoppers
-
- Figure 82: Where they shopped for DIY products in the past 12 months, by age and socio-economic group, March 2018
- Multi-channel shopping is growing in importance
-
- Figure 83: How they shopped for DIY products in the past 12 months, March 2016-March 2018
Satisfaction with DIY Retailers
-
- DIY shoppers are satisfied with products…
- ...but less so with service
-
- Figure 84: Satisfaction with features of DIY retailers, March 2018
- Wilko and Amazon customers are most satisfied with price
- B&Q customers are most satisfied with the range on offer
- Homebase falling behind when it comes to stock availability
- Amazon wins for speed of checkout
-
- Figure 85: Satisfaction with specific factors at the retailer they spent the most at in the past year, by where they spent the most in the past year, March 2018
- Amazon shoppers are most satisfied
- But it’s a different story for Homebase/Bunnings
-
- Figure 86: Proportion of those who spent the most with each retailer in the past year saying they were ‘very satisfied’ with the overall experience, March 2018
Key Driver Analysis
-
- Product range needs to be promoted
-
- Figure 87: Key drivers of overall satisfaction with DIY retailers, March 2018
-
- Figure 88: Overall satisfaction with DIY retailers – Key driver output, March 2018
How They Shop
-
- Multichannel shopping is becoming the norm
- Online is the preferred source of advice and inspiration
-
- Figure 89: How they shopped for DIY/home improvement products in the last 12 months, March 2018
- Stores are struggling to appeal to younger shoppers
-
- Figure 90: How they shopped for DIY/home improvement products in the last 12 months, March 2018
Appendix – Data Sources, Abbreviations and Supporting Information
-
- Abbreviations
- Consumer research methodology
Appendix – Market Size and Forecast
-
- Forecast methodology
Appendix – Key Driver Analysis
-
- Methodology
- Interpretation of results
-
- Figure 91: Overall satisfaction with DIY retailers – Key driver output, March 2018
-
- Figure 92: Satisfaction with DIY retailers, March 2018
Back to top